How to apply for Life insurance
Buying a life insurance plan can be a daunting task for you if you are not aware of its whereabouts and application process. But with a little guidance from us, you can choose and apply for a life insurance plan that fits well according to your need.
Required documents at the time of applying for Life insurance
- Your salary and outstanding debts
- Any current or past medical diagnoses and prescriptions
- Information about your beneficiaries
- Contact information for your primary care physician
Factors affecting life insurance premium
The length of policy and amount of coverage you need
- Your age
- Your physical and mental health
- Tobacco use
- Your driving records
- Your travel plans
- Your family medical history
- High-risk activities like skydiving, flying a plane or bungee jumping
Steps to follow while applying for a life insurance policy
Firstly, decide the type of life insurance plan you are looking for
It is a big question, for which you need to find an answer to yourself. The most common and mostly applied insurance plan is term life insurance, which lasts a set number of years, then expires, is the best choice for many. It is much more affordable and less complicated than whole life insurance, which stays in effect for as long as you pay the premiums.
Whole life insurance is a good fit if you are subjected to get a tax exemption, bear monetary needs of dependents, or are maxing out all your retirement accounts.
Calculate how much coverage you want
To determine the amount of life insurance to buy:
- Calculate your family's major expenses and your outstanding debts, like car payments.
- Consider future financial obligations, like college tuition, too.
- Next, subtract your current assets, like the value of any employer-provided life insurance.
- Tack on a little extra for expenses your loved ones might have to pay after you die, like funeral costs.
Get a quote from all the companies who are offering life insurance policy
After understanding your requirement, online you can request a life insurance quote over the phone or via mail by simply telling little about yourself.
Compare all the quotes to find the best one
Life insurance rates are based on your age and health. But some companies are more forgiving when it comes to certain illnesses, conditions, or habits, so it is important to shop around.
Speak to a representative of a life insurance company you have chosen
A representative will contact you to get information about your medical history and other factors that may affect your life insurance quote. After getting the required information, the representative recommends a life insurance policy that fits your needs.
Fill the application form
After selecting a life insurance policy, you need to complete a full application that will provide us with the needed information to approve your coverage.
Go through with the medical examination
You need to undergo a medical examination to determine your eligibility and finalize your premium of a life insurance plan. You can select the time and place for this exam, and a qualified nurse will come to you. The medical exam is simple and will not take more than 30 minutes.
Underwriting begins
It is the process in which your application is reviewed by the insurance company to assess your insurance risk. You need to be patient during the underwriting as this process may take anywhere from three to eight weeks.
Sit back & relax
Once your medical examination is finished an underwriter will analyze the results, along with your health records and financial information, to approve or deny your policy and set your official premiums.
